Finance ministry notifies 10pc pay raise for govt employees – Pakistan

The Ministry of Finance issued notifications for a 10 percent increase in the salaries of federal government employees, in addition to granting the allocation of disparity reduction (DRA) worth 30 percent basic payment, according to the documents observed by Dawn.com.

The salary increase was announced as part of the budget for the next fiscal year, where the salaries of federal employees from grade 1 to 22 would be collected for 10 percent and the retired government servers would be eligible for an increase in the 7PC pension.

According to one of the notifications, dated on July 4, the basic payment to the personnel of the Armed Forces, the civil armed forces and the civilian employees of the federal government are subject to the salary increase.

The notification said that the payment would be “subject to the Income Tax; admissible during the license and the full period of LPR, except during the extraordinary license; it will not be treated as part of the emoluments with the purpose of calculating pension/tip and recovery of the rent of the house.”

In addition, he said that the salary “would not be admissible for employees during the mandate of their publication/deputation abroad; and will be admissible for employees in their repatriation for publishing/deputation abroad at the rate and an amount that would have been admissible if they have not been published abroad.”

A separate notification, also dated July 4, said that the employees of the Federal Government of Grades 1-22 could resort to 30pc of basic payment. The subsidy applies to those employees who are already based on Dra.

“For those employees who have been appointed as of July 1, 2022, this allocation will be admissible on the basis of the basic initial salary scale of 2017,” said the notification.

Last month, the Government approved an increase of more than five times in the salaries of the president of the Senate and the president of the National Assembly, taking it to RS1.3 million per month.

A notification of May 29 revealed that the president of the Senate and the salaries of the NA speakers have risen from RS205,000 to RS1.3M, in addition to 50 percent of the reviewed salary (RS650,000) as the sumptuous assignment.

The walk, with a retrospective effect, entered into force in January 2025.

Meanwhile, in May, President Asif Ali Zardari promulgated an ordinance to increase the salaries of federal state ministers and ministers to coincide with those of the members of the National Assembly (MNA).

The Finance Committee of the National Assembly, headed by Na Ayaz Sadiq, approved the proposed increase in the monthly salary of each MNA and Senator to RS519,000. Previously, legislators received a monthly salary from RS180,000.

“The federal ministers and the Ministers of State will receive a monthly salary equivalent to the salary of a member of the National Assembly,” said the Ordinance.



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